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ARTICLE · 20 FEBRUARY 2025

Funds And Wealth – A Source Of Delay?

Herrington Carmichael LLP
Herrington Carmichael LLP
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Herrington Carmichael LLP

Herrington Carmichael LLP

The origins of the practice can be traced back over 180 years in Wokingham and 150 in Aldershot. It...

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Whether a first-time buyer or a seasoned property investor, buying a home is a major financial transaction and it will be necessary to prove where the money will come from.

United KingdomFinance and Banking
Elisabeth Smith
Elisabeth Smith
David Fullbrook
David Fullbrook
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Whether a first-time buyer or a seasoned property investor, buying a home is a major financial transaction and it will be necessary to prove where the money will come from. This is referred to as demonstrating the Source of Funds and Source of Wealth ('SoFW'). These requirements exist to prevent financial crime, such as money laundering. Whilst this may appear complicated, understanding these requirements will help the transaction progress quickly and smoothly. This article will explain the difference between Source of Funds ('SoF') and Source of Wealth (SoW') and how purchasers can prepare for these checks to avoid delays to the transaction.

The Difference between Source of Funds and Source of Wealth

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